ELGI Sauer Compressors Limited, a joint venture between Elgi Equipments Ltd and the German-based Sauer Compressors Group, has announced the inauguration of a new manufacturing facility in Kallappalayam, Coimbatore, Tamil Nadu. The state-of-the-art facility, built with an investment of approximately INR 400 million, will focus on producing advanced high-pressure compressors, pressure-reducing stations, and portable breathing air compressors.
The expansion of ELGI Sauer Compressors Limited aims to cater to the growing demands of India’s industrial, commercial shipping, naval, and offshore markets. The facility will also house an Engineering Support Centre, providing engineering assistance for new product development and prototype testing for the Sauer Compressors Group globally. ELGI Sauer Compressors’ expansion with the opening a new manufacturing facility in Coimbatore marks a significant milestone in the joint venture’s growth journey.
ELGI Sauer Compressors’ Commitment to Growth and Market Leadership

The joint venture between ELGi and Sauer Compressors Group was established in 2008, bringing advanced technology and a wider product range to the Indian market. Over the past 14 years, the partnership has established a strong presence in the high-pressure market, offering customized solutions and indigenization prospects that enhance competitiveness. The new facility represents a significant milestone in ELGI Sauer Compressors’ journey towards market leadership and sustainable business growth. With increased capacity and agile operations, the company aims to support its customers effectively and expand into new markets.
Dr Jairam Varadaraj, Managing Director of Elgi Equipments Limited, expressed confidence in the new facility’s ability to provide enhanced local market know-how, improved indigenization prospects, and customized solutions. The investment in increased manufacturing capacity aligns with ELGI Sauer Compressors’ commitment to delivering exceptional product support and strengthening its position in India and neighbouring countries. Hendrik Murmann, CEO of Sauer Compressors Group, praised the achievements of the Indian team and emphasized the significance of their contributions to the global success of the Sauer Compressors Company Group.
Sustainable and Environmentally Friendly Operations
The new facility reflects ELGi’s focus on environmental sustainability and resource-neutral operations. Energy-efficient transformers, water recycling systems, rainwater harvesting, and architectural features promoting natural light and ventilation are incorporated into the design. The construction also utilizes over 1 million kilograms of ELGi foundry waste sand, showcasing the company’s commitment to circularity. ELGi prioritizes a zero-incident workplace and aims to foster a safe and healthy work environment while eliminating occupational health and safety-related incidents. The facility adheres to green building principles and is certified by the Indian Green Building Council (IGBC).

By combining ELGi’s local market expertise and Sauer Compressors Group’s global leadership in high-pressure air compressors, the company is well-positioned to cater to the increasing demands of various industries in India. With a focus on sustainability, resource efficiency, and product support, ELGI Sauer Compressors aims to consolidate its position as a market leader and drive long-term business success.